Federal Reserve Chairman Jerome Powell’s job will get more difficult next year, as the central bank’s policy rate closes in on its neutral level, writes Alan S. Blinder for The Wall Street Journal. “Hawks will clamor for more rate increases, seeking to head off inflation with rates well above the neutral level,” he writes. “Doves will urge caution. Why kill the golden goose of low unemployment when inflation is nowhere in sight? How will Chairman Powell turn the coming hawk-dove battle into a workable compromise?”...

Source: Wall Street Journal September 11, 2018 21:22 UTC